Late last week, a friend of our San Francisco landlord/tenant law firm e-mailed us an article he’d seen on Curbed LA, the Los Angeles portion of a real estate and neighborhood news website. The article suggests that landlords in L.A. could fetch up to twice as much money on the short-term market (such as via Airbnb) than they can make via a traditional long-term rental. He asked us: “Could the same thing happen in San Francisco? Should renters be worried?” We thought that the reality and the legality of short-term rentals in San Francisco might be on more than one renter’s mind (and therefore a great blog topic!), especially given the well-publicized increase in rental prices in the Bay Area in recent years.
Airbnb and the Short-Term Rental Concept
For those unfamiliar with the company, Airbnb is a locally based company that touts itself as a community marketplace connecting people looking for a place to stay with people who have space to spare. The site covers more than 34,000 cities and allows people to rent a wide-range of spaces with many spaces offering nightly, weekly, and monthly rates. While it is certainly the most popular, Airbnb is just one company serving the growing demand for short-term rentals.